Financial Data and Key Metrics Changes - Synchrony reported net earnings of $789 million, or $1.94 per diluted share, with a return on average assets of 2.6% and a return on tangible common equity of 24.3% [5][19] - Net revenue grew 10% to $3.8 billion, driven by higher interest and fees, lower RSA, and increased other income [17] - Provision for credit losses increased to $1.6 billion, reflecting higher net charge-offs and a reserve build [18] Business Line Data and Key Metrics Changes - The company added 4.7 million new accounts and generated $45 billion in purchase volume, although growth was impacted by a modest pullback in consumer spending [6] - Average active accounts remained stable year-over-year, while ending receivables grew by 4% [7] - Dual and co-branded cards accounted for 43% of total purchase volume, decreasing by 2% due to selective consumer spending [8] Market Data and Key Metrics Changes - Platform purchase volume growth ranged from down 3% to down 7% year-over-year, reflecting lower spend per account [7] - Non-prime customers reduced their average transaction values by about 5% year-over-year, while prime transaction values moderated by 3% [9] - The 30-plus delinquency rate was 4.78%, up from 4.40% the previous year, and the net charge-off rate was 6.06%, compared to 4.60% in the prior year [19][20] Company Strategy and Development Direction - Synchrony is focused on delivering financial solutions with compelling value propositions and broad utility, enhancing customer loyalty and driving risk-adjusted returns [11][30] - The company added or renewed over 15 partners, including Dick's Sporting Goods and Gibson, to expand its strategic partnerships [12][13] - Synchrony is adapting to consumer behavior changes and managing credit actions to strengthen its portfolio for long-term growth [20][24] Management's Comments on Operating Environment and Future Outlook - Management noted that consumers are making healthy spending decisions aligned with their priorities and budgets, despite inflationary pressures [11] - The company expects low single-digit declines in purchase volume for the fourth quarter, with payment rates moderating [26] - Synchrony anticipates delivering fully diluted earnings per share between $8.45 and $8.55 for the full year 2024, reflecting strong core business performance [28] Other Important Information - Total liquid assets and undrawn credit facilities were $22.4 billion, representing 18.8% of total assets [22] - The company returned $399 million to shareholders during the third quarter, consisting of share repurchases and dividends [23] - Synchrony is planning for the potential implementation of the late fee rule, with ongoing assessments of its impact on business operations [57][59] Q&A Session Summary Question: Can you unpack the NII guide for us? - Management explained that the NII for Q4 is expected to be impacted by higher reversals and lower late fee income, which will offset interest income benefits [32] Question: Do you expect losses to follow seasonality? - Management indicated that delinquency trends are stable and that they expect to return to a normalized level of losses over time [36] Question: Can you quantify the components of the loan yield increase? - Management refrained from breaking out individual components but confirmed that the benefits from PPPCs are reflected in the interest yield line [38] Question: How has credit performance evolved relative to expectations? - Management noted that actions taken earlier in the year were to protect against potential deterioration, and current performance is in line with expectations [40] Question: What is the outlook for the reserve rate trend line? - Management expects the reserve rate at year-end to be in line with the previous year, with a gradual return to normalized levels as delinquency rates stabilize [54] Question: What is the plan if the late fee rule does not go into effect? - Management stated that they are planning as if the late fee rule will be implemented and have not considered rolling back any changes made [59]

3Q'24 FINANCIAL RESULTS October 16, 2024 Disclaimers Cautionary Statement Regarding Forward-Looking Statements The following slides are part of a presentation by Synchrony Financial in connection with reporting quarterly financial results and should be read in conjunction with the earnings release and financial supplement included as exhibits to our Current Report on Form 8-K filed today and available on our website (www.synchronyfinancial.com) and the SEC's website (www.sec.gov). All references to net earn ...

STAMFORD, Conn., Oct. 16, 2024 /PRNewswire/ -- Synchrony Financial (NYSE: SYF) today announced its third quarter 2024 results for the period ending September 30, 2024. The earnings news release and presentation can be found on the company's investor relations website at https://investors.synchrony.com/financial-results. Today at 8 a.m. ET, Brian Doubles, President and Chief Executive Officer, and Brian Wenzel Sr., Executive Vice President and Chief Financial Officer, will host a conference call to review th ...

Wall Street analysts forecast that Synchrony (SYF) will report quarterly earnings of $1.77 per share in its upcoming release, pointing to a year-over-year increase of 19.6%. It is anticipated that revenues will amount to $4.52 billion, exhibiting an increase of 3.5% compared to the year-ago quarter. The consensus EPS estimate for the quarter has undergone an upward revision of 3.5% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed t ...

Synchrony Financial (SYF) recently introduced a groundbreaking technology that connects its CareCredit health and wellness credit card with Pets Best pet insurance. This move is aimed at streamlining the pet care payment process. This first-of-its-kind integration allows pet parents to receive direct reimbursements for insurance claims on their CareCredit card, simplifying the traditionally complex process of paying for veterinary services. SYF and Independence Pet Holdings, Inc. aim to further expand this ...

Wall Street expects a year-over-year increase in earnings on higher revenues when Synchrony (SYF) reports results for the quarter ended September 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates. The earnings report, which is expected to be released on October 16, 2024, might help the stock move higher if these key numbers are better than e ...

Industry innovation means CareCredit and Pets Best Pet Insurance work seamlessly together to provide pet parents with easy and flexible financial solution New reimbursement process to scale to additional IPH insurers in coming months STAMFORD, Conn., Oct. 9, 2024 /PRNewswire/ -- Synchrony (NYSE: SYF), a leading consumer financing company, today announced the launch of a first-of-its-kind payment experience for pet parents. For consumers who have both CareCredit and Pets Best pet insurance, this simple and s ...

Synchrony Financial (SYF) is well positioned for growth, driven by increasing net interest income, higher average loan receivables, and a decline in delinquencies. However, softer consumer spending could somewhat temper this progress. Synchrony Financial — with a market cap of $20.5 billion — is a premier consumer financial services company that offers a wide range of credit products. Courtesy of solid prospects, this Zacks Rank #3 (Hold) stock is worth retaining in your portfolio at the moment. SYF's Price ...

CareCredit Named Preferred Financing Solution for PSIvet Members, Extending Access to Convenient Financing Options STAMFORD, Conn., Oct. 1, 2024 /PRNewswire/ -- Synchrony (NYSE: SYF), a premier consumer finance company, is a strong supporter of independent veterinary practices and their roles in the communities they serve. Today, the company has announced that its CareCredit health and wellness credit card was selected as the preferred financing solution for PSIvet, a group purchasing organization (GPO) tha ...

Synchrony Financial (SYF) recently announced a multi-year extension of its partnership with DICK'S Sporting Goods, Inc. (DKS) . This move highlights that both companies will continue enhancing services and experiences for the athlete community. Synchrony has been in partnership with DKS for the past two decades. This partnership is expected to build on the success of the DKS's ScoreRewards Credit Card program. This credit card program is intended to improve athletes' loyalty toward DKS's products by offerin ...